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Tuesday, February 1, 2011

Smith Co. - First in First out Process Costing System

Solution is available here for U$1.00

Complete question is in the attached JPEG

Required:
A. Calculate the total cost of goods completed and transferred out and the total cost of ending work in process inventory for January 2009

B. If Abnormal Spoilage can be sold for $7 each. show the appropriate journal entries to close the abnormal spoilage to the income statement

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